1121.32
Notice of charges and intent to issue cease and desist order.

(A)
The
superintendent of financial institutions may issue and serve a notice of
charges and intent to issue a cease and desist order upon a bank, trust
company, or regulated person, if, in the opinion of the superintendent, either
of the following applies to the bank, trust company, or regulated person:

(1)
The bank, trust company, or regulated
person is engaging, has engaged, or, the superintendent has reasonable cause to
believe, is about to engage in an unsafe or unsound practice in conducting the
bank's or trust company's business;

(2)
The bank, trust company, or regulated
person is violating, has violated, or, the superintendent has reasonable cause
to believe, is about to violate any of the following:

(b)
A condition imposed in writing by the
superintendent in connection with granting an application or notice that is
subject to the superintendent's approval or an opportunity for the
superintendent to disapprove or other request by the bank, trust company, or
regulated person;

(B)
The notice of charges and intent to
issue as cease and desist order shall include all of the following:

(1)
A statement of the violation or
violations or unsafe or unsound practice or practices alleged;

(2)
A statement of the facts constituting the
violation or violations or unsafe or unsound practice or practices alleged;

(3)
Notice that the bank, trust
company, or regulated person is entitled to a hearing, in accordance with
section 1121.38 of the Revised Code, to
determine whether a cease and desist order should be issued against the bank,
trust company, or regulated person, if the bank, trust company, or regulated
person requests the hearing within thirty days of service of the notice;

(4)
Notice that, if the bank, trust
company, or regulated person makes a timely request for a hearing, the bank,
trust company, or regulated person may appear at the hearing in person or by
attorney or by presenting positions, arguments, and contentions in writing, and
at the hearing may present evidence and examine witnesses for and against the
bank, trust company, or regulated person.

(5)
Notice that failure of the bank, trust
company, or regulated person to make a timely request for a hearing to
determine whether a cease and desist order should be issued or to appear at the
hearing, in person, by attorney, or by writing, is consent by the bank, trust
company, or regulated person to the issuance of the cease and desist order.

(C)
The superintendent
may issue a cease and desist order against the bank, trust company, or
regulated person, if any of the following applies:

(1)
The bank, trust company, or regulated
person consents to the issuance of the cease and desist order;

(2)
Upon the record of the hearing the
superintendent finds a violation or unsafe or unsound practice has been
established;

(3)
The superintendent
determines the bank's or trust company's books and records are too incomplete
or inaccurate to permit the superintendent, through the normal supervisory
process, to determine the financial condition of the bank or trust company or
the details or purpose of one or more transactions that may have a material
effect on the financial condition of the bank or trust company;

(4)
The superintendent finds the violation or
unsafe or unsound practice alleged is likely, prior to completion of the
hearing, to cause any of the following:

(b)
Significant dissipation of the bank's or
trust company's earnings or assets;

(c)
Weakening of the bank's or trust
company's condition or other prejudice to the interests of the bank's
depositors or trust company's beneficiaries.

(D)
A cease and desist order may require the
bank, trust company, or regulated person to cease and desist from each
violation or unsafe or unsound practice, to correct or remedy the conditions
resulting from each violation or unsafe or unsound practice, and to take
affirmative action, including any of the following:

(1)
Make restitution or provide
reimbursement, indemnification, or guarantee against loss, if either of the
following applies:

(a)
The bank, trust
company, or regulated person was or will be unjustly enriched in connection
with the violation or practice;

(b)
The violation or practice involved a reckless disregard for the law or any
applicable rule or prior order of the superintendent.

(E)
A cease and desist order issued by the
superintendent is effective at the time specified in the order, which shall be
as follows:

(1)
In the case of a cease and
desist order issued pursuant to division (C)(2) of this section, not less than
thirty days after service of the order upon the bank, trust company, or
regulated person;

(2)
In the case
of a cease and desist order issued pursuant to division (C)(1), (3), or (4) of
this section, immediately upon service of the order on the bank, trust company,
or regulated person.

(F)
A cease and desist order shall remain effective
and enforceable as provided in the order except to the extent it is stayed,
modified, terminated, or set aside by action of the superintendent or a
reviewing court. If, upon the record of a hearing, the superintendent
determines not to issue a cease and desist order, any cease and desist order
issued pursuant to division (C)(3) or (4) of this section is terminated.

(G)
Within ten days after being
served a cease and desist order issued pursuant to division (C)(3) or (4) of
this section, a bank, trust company, or regulated person may apply to the court
of common pleas of the county in which the principal place of business of the
bank, trust company, or regulated person, or residence of the regulated person,
is located, or the court of common pleas of Franklin county, for an injunction
setting aside, limiting, or suspending the enforcement, operation, or
effectiveness of the cease and desist order pending completion of the hearing
to determine whether a cease and desist order should be issued against the
bank, trust company, or regulated person pursuant to division (C)(2) of this
section, and the court has jurisdiction to issue the injunction.

(H)
The superintendent shall serve a
certified copy of a cease and desist order issued pursuant to this section on
any bank or trust company in relation to which the object of the cease and
desist order is a regulated person.